Supply Chain. cinagement. IStlGS USO OS.S. Fourth Edition. Donald J. Bowersox David J. Closs M. Bixby Cooper John C. Bowersox.

Size: px
Start display at page:

Download "Supply Chain. cinagement. IStlGS USO OS.S. Fourth Edition. Donald J. Bowersox David J. Closs M. Bixby Cooper John C. Bowersox."

Transcription

1 USO OS.S Supply Chain IStlGS cinagement Fourth Edition Donald J. Bowersox David J. Closs M. Bixby Cooper John C. Bowersox Michigan State University Me Graw Hill

2 About the Authors iv Preface v PART ONE MANAGEMENT 1 Chapter 1 21st-century Supply Chains 2 The Supply Chain Revolution 4 Why Integration Creates Value 5 Generalized Supply Chain Model 6 Information System Functionality 7 Supply Chain Information System Modules 10 Enterprise Integration and Administration 11 Enterprise Supply Chain Operations 12 Enterprise Planning and Monitoring 13 Communication Technology 14 Consumer Connectivity 14 Integrative Management and Supply Chain Processes 14 Collaboration 16 Enterprise Extension 17 Integrated Service Providers (ISPs) 17 Responsiveness 19 Anticipatory Business Model (Push) 19 Responsive Business Model (Pull) 20 Postponement 21 Barriers to Implementing Responsive Systems 23 Financial Sophistication 23 Cash-to-Cash Conversion 24 Dwell Time Minimization 24 Cash Spin 25 Globalization 25 Summary 26 Study Questions 27 Challenge Questions 27 Chapter 2 Logistics 28 The Logistics of Business Is Big and Important 29 The Logistical Value Proposition 30 Service Benefits 30 Cost Minimization 32 Logistics Value Generation 32 The Work of Logistics 33 Order Processing 33 Inventory 34 Transportation 35 Warehousing, Materials Handling, and Packaging 36 Facility Network Design 3 7 Logistical Operations 38 Inventory Flow 38 Information Flow 40 Logistical Integration Objectives 40 Responsiveness 41 Variance Reduction 41 Inventory Reduction 41 Shipment Consolidation 41 Quality 42 Life Cycle Support 42 Logistical Operating Arrangements 42 Echelon 43 Direct 43 Combined 44 Flexible Structure 45 Supply Chain Synchronization 47 Performance Cycle Structure 48 Performance Cycle Uncertainty 50 Summary 52 Study Questions 53 Challenge Questions 53 Chapter 3 Customer Relationship Management 54 Customer-Focused Marketing 55 Transactional versus Relationship Marketing 56 Supply Chain Service Outputs 57 Customer Service 59 Availability 59 Operational Performance 61 Service Reliability 62 The Perfect Order 63 Basic Service Platforms 64

3 Customer Satisfaction 64 Customer Expectations 65 A Model of Customer Satisfaction 65 Increasing Customer Expectations 68 Limitations of Customer Satisfaction 69 Customer Success 70 Achieving Customer Success 71 Value-Added Services 72 Developing Customer Relationship Strategy 73 Framework for Strategic Choice 73 Customer Relationship Management Technology 75 Summary 76 Study Questions 77 Challenge Questions 78 Chapter 4 Procurement 79 Procurement Objectives 80 Continuous Supply 80 Minimize Inventory Investment 80 Quality Improvement 81 Supplier Development 81 Access Technology and Innovation 81 Lowest Total Cost of Ownership 81 Procurement Strategy 83 Insourcing versus Outsourcing 83 Alternative Procurement Strategies 84 Procurement Strategy Portfolio 87 Supplier Selection and Assessment 89,' Supplier Audits 89 Supplier Development 90 Monitoring Performance 90 Supplier Certification 91 E-Commerce and Procurement 91 Logistical Interfaces with Procurement 92 Just-in-Time 93 Procurement of Logistics Services 93 Performance-Based Logistics 94 Summary 94 Study Questions 95 Challenge Questions 95 Chapter 5 Manufacturing 96 The Quality Imperative 97 Dimensions of Product Quality 97 Total Quality Management 99 Quality Standards 100 Manufacturing Perspectives 100 Brand Power 100 Volume 101 Variety 101 Constraints 102 Leadtime 103 Manufacturing Strategy 103 Basic Manufacturing Processes 104 Matching Manufacturing Strategy to Market Requirements 106 Alternative Manufacturing Strategies 106 Total Cost of Manufacturing 108 Contemporary Manufacturing Developments 109 Mass Customization 109 Lean Systems 110 Flexible Manufacturing 111 Six Sigma 112 Requirements Planning 113 Design for Manufacture 113 Design for Logistics 114 Summary 114 Study Questions 115 Challenge Questions 115 Chapter 6 Integrated Operations Planning 116 Supply Chain Planning 117 Supply Chain Visibility 117 Simultaneous Resource Consideration 117 Resource Utilization 118 Supply Chain Planning Applications 118 Demand Planning 118 Production Planning 119 Logistics Planning 119 Inventory Deployment 120 Sales and Operations Planning 121 S&OP Process 121 Making S&OP Work 124 APS System Overview 126 APS System Components 127 Supply Chain Planning Benefits 129 Supply Chain Planning Considerations 130 Integrated Business Planning 131 Supply Chain Planning Summary 131 Collaborative Planning, Forecasting, and Replenishment 132 Forecasting 133 Forecasting Requirements 134 Forecasting Components 135 Forecasting Process 137

4 Forecasting Techniques 139 Forecasting Accuracy 143 Summary 145 Study Questions 145 Challenge Questions 146 PART TWO OPERATIONS 147 Chapter 7 Inventory 148 Inventory Functionality and Definitions 149 Inventory Functionality 149 Inventory Definitions 151 Inventory Carrying Cost 155 Capital 155 Taxes 155 Insurance 155 Obsolescence 146 Storage 156 Planning Inventory 156 When to Order 156 How Much to Order 157 Managing Uncertainty 162 Demand Uncertainty 162 Performance Cycle Uncertainty 166 Safety Stock with Combined Uncertainty 166 Estimating Fill Rate 168 Dependent Demand Replenishment 171 Inventory Management Policies 171 Inventory Control 172 Reactive Methods 174 Planning Methods I75 Collaborative Inventory Replenishment 180 Inventory Management Practices 181 Product/Market Classification 182 Segment Strategy Definition 183 Policies and Parameters 183 Summary 184 Study Questions 184 Challenge Questions 185 Chapter 8 Transportation 186 Transport Functionality and Participants Functionality 187 Participants From Regulation to a Free Market System 190 Transporation Modal Structure 191 Rail 193 Truck 194 Water 196 Pipeline 196 Air 197 Modal Comparative Characteristics and Capabilities 198 Infrastructure in Crisis 198 Specialized Transportation Services 199 Package Services 199 Intermodal 201 Nonoperating Intermediaries 202 Transportation Economics and Pricing 203 Economy of Distance 203 Economy of Weight 203 Economy of Density 204 Other Pricing Factors 204 Costing Freight 205 Pricing Freight 206 Transportation Management 212 Operational Management 212 Consolidation 213 Negotiation 215 Control 215 Auditing and Claim Administration 216 Documentation 217 Bill of Lading 217 Freight Bill 219 Shipment Manifest 219 Product Pricing and Transportation 219 F.O.B. Pricing 219 Delivered Pricing 220 Pickup Allowances 221 Summary 221 Study Questions 222 Challenge Questions 222 Chapter 9 Warehousing 223 Strategic Warehousing 224 Economic Benefits 225 Service Benefits 230 Warehouse Operations 231 Handling 231 Storage 233 Warehouse Ownership Arrangements 235 Private 235 Public 236

5 Contract 236 Network Deployment 237 Warehouse Decisions 237 Site Selection 23 7 Design 238 Product-Mix Analysis 239 Expansion 239 Handling 239 Layout 240 Sizing 241 Warehouse Management Systems (WMS) 241 Yard Management Systems (YMS) 243 Accuracy and Audits 244 Security 244 Safety and Maintenance 245 Summary 246 Study Questions 246 Challenge Questions 247 Chapter 10 Packaging and Handling 248 Packaging Perspectives 248 Packaging for Handling Efficiency 251 Package Design 251 Unitization 252 Communication 254 Handling 255 Basic Handling Considerations 255 Mechanized Systems 256 Semiautomated Systems 25 7 Automated Systems 259 Information-Directed Systems 263 Special Handling Considerations 264 Summary 266 Study Questions 266 Challenge Questions 266 PART THREE DESIGN 269 Chapter 11 Global Supply Chains 270 Global Economies 270 Global Supply Chain Integration 271 Logistics in a Global Economy 272 Globalization Strategies 272 Managing the Global Supply Chain 276 Global Sourcing 280 Rationale for Low-Cost-Country Sourcing 280 Challenges for Low-Cost-Country Sourcing 281 Guidelines for Sourcing 282 Summary 283 Study Questions 283 Challenge Questions 283 Chapter 12 Network Design 285 Enterprise Facility Network 286 Spectrum of Location Decisions 287 Local Presence: An Obsolete Paradigm 287 Warehouse Requirements 288 Procurement Drivers 288 Manufacturing Drivers 289 Customer Relationship Drivers 290 Warehouse Justification 291 Systems Concept and Analysis 291 Total Cost Integration 292 Transportation Economics 292 Inventory Economics 295 Total Cost Network 300 Formulating Logistical Strategy 301 Cost Minimization 302 Threshold Service 302 Service Sensitivity Analysis 304 Establishing Strategy 306 Other Considerations in Logistics Network Design 307 Summary 308 Study Questions 309 Challenge Questions 310 Chapter 13 Operations Analysis 311 Planning Methodology 311 Phase I: Problem Definition and Planning 312 Feasibility Assessment 312 Project Planning 318 Phase II: Data Collection and Analysis 320 Assumptions and Data Collection 320 Analysis 323 Phase III: Recommendations and Implementation 325 Recommendations 325 Implementation 326

6 XII Contents Supply Chain Operations Analysis Methods and Techniques 327 Design Decisions 327 Design Logic 328 Inventory Decisions 334 Transportation Decisions 336 Freight Lane Analysis 338 Inventory Analysis 339 Summary 341 Study Questions 341 Challenge Questions 342 PART FOUR ADMINISTRATION 343 Chapter 14 Collaboration 344 Logistical Organization 345 Functional Aggregation 345 A Shift in Emphasis from Function to Process 347 Development of Collaborative Relationships 351 Collaborative Relationships and Dependency 352 Developing Trust 353 " Risk, Power, and Leadership 355 Supply Chain Collaborative Framework 356 Relationship Management 360 Initiating 360 Implementing 361 Maintaining 362 Terminating 363 Summary 364 Study Questions 364 Challenge Questions 365 Chapter 15 Performance Measurement 366 Measurement System Objectives 366 Operational Assessment 367 Functional Perspectives 368 Measuring Customer Relationships 372 Determining Appropriate Metrics 374 Supply Chain Comprehensive Metrics 3 75 Benchmarking 3 77 Information Technology and Measurement 378 Financial Assessment 379 Cost-Revenue Analysis 3 79 Strategic Profit Model 383 Requirements for Financial Reporting 387 Summary 389 Study Questions 390 Challenge Questions 390 Chapter 16 Risk and Sustainability 391 Evolving Responsibilities of Supply Chain Professionals 391 Processes and Resources 394 Product Complexity 394 Outsourcing 395 Risk and Security Management 395 Regulation 397 Financial and Taxation 397 Security 398 Sustainability 402 Environmental 403 Ethical 404 Educational 405 Economic 406 Supply Chain Sustainability Examples 407 Summary 414 Study Questions 415 Challenge Questions 415 Epilogue 417 Problems 419 Cases 431 Index 475

Content. Chapter 1 Supply Chain Management An Overview 3. Chapter 2 Supply Chain Integration 17. Chapter 3 Demand Forecasting in a Supply Chain 28

Content. Chapter 1 Supply Chain Management An Overview 3. Chapter 2 Supply Chain Integration 17. Chapter 3 Demand Forecasting in a Supply Chain 28 Content Part I: Principles of Supply Chain Management Chapter 1 Supply Chain Management An Overview 3 Part II: Supply Chain Planning & Design Chapter 2 Supply Chain Integration 17 Chapter 3 Demand Forecasting

More information

Contents. List of figures List of tables. Abbreviations

Contents. List of figures List of tables. Abbreviations Contents List of figures List of tables Preface Abbreviations xv xxi xxiii xxix PART 1 CONCEPTS OF LOGISTICS AND DISTRIBUTION 1 Introduction to logistics and distribution 3 Introduction 3 Definitions 4

More information

Logistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D.

Logistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D. Logistics Management SC Performance, SC Drivers and Metrics Özgür Kabak, Ph.D. Outline Supply Chain Performance: Achieving Strategic Fit and Scope Competitive and supply chain strategies Achieving strategic

More information

EUROPEAN QUALIFICATION STANDARDS for LOGISTICS PROFESSIONALS

EUROPEAN QUALIFICATION STANDARDS for LOGISTICS PROFESSIONALS EUROPEAN QUALIFICATION STANDARDS for LOGISTICS PROFESSIONALS Preface The European Logistics Association (ELA) introduced since 1998 a set of Standards in Logistics and Supply Chain Management, which form

More information

Section D: Logistics. 2008 APICS All rights reserved. 2-141 Version 1.4 Draft 2

Section D: Logistics. 2008 APICS All rights reserved. 2-141 Version 1.4 Draft 2 This section is designed to Define logistics and explain its relationship to supply chain strategy Describe the interrelationship of the various logistics functions Define warehousing and sketch a brief

More information

Principles of Supply Chain Management:

Principles of Supply Chain Management: Principles of Supply Chain Management: A Balanced Approach Joel D. Wisner University of Nevada, Las Vegas G. Keong Leong University of Nevada, Las Vegas Keah-Choon Tan University of Nevada, Las Vegas Technfsche

More information

SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES

SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES SUPPLY CHAIN (SC) DRIVERS AND OBSTACLES Drivers of SC performance Facilities Inventory Transportation Information Sourcing Pricing The discussion here is mainly concerned with how these drivers are used

More information

Module 1: Supply Chain Design

Module 1: Supply Chain Design Module 1: Supply Chain Design Module 1 Introduction Section A: Develop the Supply Chain Strategy Chapter 1: Inputs to Supply Chain Strategy o Topic 1: Business Model o Topic 2: External Inputs to Supply

More information

CSCMP Level One : Cornerstones of Supply Chain Management. Learning Blocks

CSCMP Level One : Cornerstones of Supply Chain Management. Learning Blocks CSCMP Level One : Cornerstones of Supply Chain Management Learning Blocks Level one training will consist of eight learning blocks: 1. Supply Chain Concepts 2. Demand Planning 3. Procurement and Supply

More information

Basics of Supply Chain Management (BSCM) Curriculum

Basics of Supply Chain Management (BSCM) Curriculum Basics of Supply Chain Management (BSCM) Curriculum Version 4.0 Session 1 to Supply Chain Management to Manufacturing Role of Manufacturing Global Citizenship Manufacturing Business Model Business Environment

More information

The Future Perfect Supply Chain

The Future Perfect Supply Chain 53 Perimeter Center Suite 201 Atlanta, GA 30346 (877)237-4291 www.competitivelogistics.com The Future Perfect Supply Chain Achieving Responsiveness and Efficiency By Art Brown VP Professional Services

More information

SUPPLY CHAIN IMPACT ON WORKING CAPITAL

SUPPLY CHAIN IMPACT ON WORKING CAPITAL Disciplined Execution Speed & Certainty Increased Stakeholder Value Working Together Lasting Positive Change SUPPLY CHAIN IMPACT ON WORKING CAPITAL IFF 27 September 2014 Jaymie C. Forrest Working Capital

More information

WEST MICHIGAN SUPPLY CHAIN MANAGEMENT CERTIFICATE SERIES

WEST MICHIGAN SUPPLY CHAIN MANAGEMENT CERTIFICATE SERIES SUPPLY CHAIN MANAGEMENT WEST MICHIGAN SUPPLY CHAIN MANAGEMENT CERTIFICATE SERIES Dates: January 16 - December 11, 2014 Location: Steelcase University Learning Center Grand Rapids, Michigan Broad College

More information

Department of Industrial Engineering

Department of Industrial Engineering Department of Industrial Engineering Master of Engineering Program in Engineering Management (International Program) M.Eng. (Engineering Management) Plan A Option 2: Total credits required: minimum 36

More information

Strategic Framework to Analyze Supply Chains

Strategic Framework to Analyze Supply Chains Strategic Framework to Analyze Supply Chains 1 Andy Guo A Strategic Framework for Supply Chain Design, Planning, and Operation Part I: Understand the supply chain Part II: Supply chain performance Part

More information

Oliver Wight Sales & Operations Planning and Demand Management as a Competitive Differentiator

Oliver Wight Sales & Operations Planning and Demand Management as a Competitive Differentiator Oliver Wight Sales & Operations and Demand Management as a Competitive Differentiator James Small Oliver Wight 1 Business Drivers and Benefits of Integrated Business (S&OP) % Respondents -- Business Drivers

More information

Plan forecast optimise

Plan forecast optimise Plan forecast optimise Don t Forecast the future, CONTROL IT Reflex Business Forecasting breaks new ground. This is sales forecasting software with unique features that allow you to create real value for

More information

#1 in. West Michigan Supply Chain Management Certificate Series. Supply Chain Management Education. Dates: January 15, 2015 - December 10, 2015

#1 in. West Michigan Supply Chain Management Certificate Series. Supply Chain Management Education. Dates: January 15, 2015 - December 10, 2015 SUPPLY CHAIN MANAGEMENT West Michigan Supply Chain Management Certificate Series #1 in Supply Chain Management Education Dates: January 15, 2015 - December 10, 2015 Location: Steelcase University Learning

More information

Meeting the Challenges of Supply Chain Management

Meeting the Challenges of Supply Chain Management Meeting the Challenges of Supply Chain Management Brand owners require innovative product configuration strategies to optimize supply chain effectiveness By John R. Kenney, Jr., ModusLink Corporation Price

More information

SMALL AND MID-SIZE COMPANIES

SMALL AND MID-SIZE COMPANIES SMALL AND MID-SIZE COMPANIES ENHANCE FINANCIAL PERFORMANCE THROUGH SUPPLY CHAIN MANAGEMENT Many small and mid-size companies may not have the resources in-house to effectively manage the challenges associated

More information

ELA Certification for Logistics Professionals

ELA Certification for Logistics Professionals ELA Certification for Logistics Professionals Performance Criteria (Standards 2 nd Layer) 3 Senior Management Level (ESLog) 3.6 Supply Chain Flow and Network Management European Logistics Association 3.6.1

More information

STRATEGIC LOGISTICS MANAGEMENT

STRATEGIC LOGISTICS MANAGEMENT STRATEGIC LOGISTICS MANAGEMENT James R. Stock Division of Marketing College of Business Administration University of Oklahoma Douglas M. Lambert Department of Marketing College of Business Administration

More information

Load Consolidation & Shipping

Load Consolidation & Shipping Best s Guide Load Consolidation & Shipping Load consolidation and shipping consist of the processes that support the transport of products and the infrastructure that supports delivery. In this topic,

More information

Guide to Supply Chain Management

Guide to Supply Chain Management Colin Scott Henriette Lundgren Paul Thompson Guide to Supply Chain Management 4Q Springer Contents 1 Introduction to Supply Chain Management 1 1.1 What Starts a Supply Chain? 1 1.2 A Functional View of

More information

Operations and Supply Chain Management Prof. G. Srinivasan Department of Management Studies Indian Institute of Technology, Madras

Operations and Supply Chain Management Prof. G. Srinivasan Department of Management Studies Indian Institute of Technology, Madras Operations and Supply Chain Management Prof. G. Srinivasan Department of Management Studies Indian Institute of Technology, Madras Lecture - 36 Location Problems In this lecture, we continue the discussion

More information

Certification in Humanitarian Supply Chain Management (CHSCM) Competence Model. Final Version 2007

Certification in Humanitarian Supply Chain Management (CHSCM) Competence Model. Final Version 2007 Certification in Humanitarian Supply Chain Management (CHSCM) Competence Model Final Version 2007 Contents Competence Model Context... 3 Functional Map... 6 UNIT 1 Supply Chain Planning... 7 UNIT 2 Supply

More information

UNIT IV Purchasing environment Changes in Environmental Conditions- Concept of Supply Chain Management-Strategic Purchasing Management.

UNIT IV Purchasing environment Changes in Environmental Conditions- Concept of Supply Chain Management-Strategic Purchasing Management. PRODUCTION AND OPERATIONS MANAGEMENT PURCHASING MANAGEMENT SUPPLY CHAIN MANAGEMENT ADVANCED PRODUCTION MANAGEMENT INTEGRATED MATERIALS MANAGEMENT INDUSTRIAL SAFETY WORLD CLASS MANUFACTURING PRODUCTIVITY

More information

Creating Lean, Agile and Demand Driven Supply Chains Kuehne + Nagel Integrated Logistics

Creating Lean, Agile and Demand Driven Supply Chains Kuehne + Nagel Integrated Logistics Creating Lean, Agile and Demand Driven Supply Chains Kuehne + Nagel Integrated Logistics Content 1 Introduction 2 Integrated Logistics Infrastructure 3 Engagement Approach 4 Pricing 5 Sustainable Competitive

More information

Supply Chain development - a cornerstone for business success

Supply Chain development - a cornerstone for business success Supply Chain development - a cornerstone for business success Agenda 1. Supply chain considerations 2. Benefits of a developed SCM strategy 3. Competitive advantage by using a LSP 4. CRM/SCM key to business

More information

Supporting the Perfect Order: Collaborative S&OP and VMI

Supporting the Perfect Order: Collaborative S&OP and VMI Supporting the Perfect Order: Collaborative S&OP and VMI October 30, 2012 Frankfurt, Germany Gary Neights Director, Product Management The Multi-Echelon Supply Chain Plan Your Supplier s Suppliers Your

More information

Best Practice Demand Planning Discussion Cathy Humphreys Business Development Manager UK

Best Practice Demand Planning Discussion Cathy Humphreys Business Development Manager UK Best Practice Demand Planning Discussion Cathy Humphreys Business Development Manager UK Best practice Demand Planning - Discussion Pressure to improve Demand Planning Implications of current economic

More information

Chapter 11 Distribution - Managing Fulfillment Operations

Chapter 11 Distribution - Managing Fulfillment Operations Chapter 11 Distribution - Managing Fulfillment Operations Modern distribution focuses on the flow of products at lowest cost and meeting customer expectations Not just traditional long term storage Provide

More information

MSD Supply Chain Programme Strategy Workshop

MSD Supply Chain Programme Strategy Workshop MSD Supply Chain Programme Strategy Workshop Day 2 APPENDIX Accenture Development Partnerships Benchmarking MSD s Current Operating Supply Chain Capability 1.0 Planning 2.0 Procurement 3.0 Delivery 4.0

More information

Supply Chain Management Seminar at Bangalore Dec. 6, 2003

Supply Chain Management Seminar at Bangalore Dec. 6, 2003 Supply Chain Management Seminar at Bangalore Dec. 6, 2003 Collaboration Synergies within the Firm Dr. P. Balasubramanian balasubp@inf.com Who is minding the Store? Demand Forecasting Production Planning.

More information

Supply Chain Logistics Management

Supply Chain Logistics Management PART 1 Supply Chain Logistics Management Part 1 establishes the strategic importance of logistics to achieving business success by creating value throughout domestic and global supply chains. The initial

More information

Jon Wesoky is currently Regional Director of Supply Chain Management Practice at Resources Global Professionals. In that role, he supports clients on

Jon Wesoky is currently Regional Director of Supply Chain Management Practice at Resources Global Professionals. In that role, he supports clients on Jon Wesoky is currently Regional Director of Supply Chain Management Practice at Resources Global Professionals. In that role, he supports clients on scoping and providing teams to execute on strategic

More information

Introduction to Operations and Supply Chain Management

Introduction to Operations and Supply Chain Management Third Edition Introduction to Operations and Supply Chain Management Cecil C. Bozarth North Carolina State University Robert B. Handfield North Carolina State University Boston Columbus Indianapolis New

More information

It Takes Software to Thrive in an Omni-Channel World. Track 4 Session 2

It Takes Software to Thrive in an Omni-Channel World. Track 4 Session 2 It Takes Software to Thrive in an Omni-Channel World Track 4 Session 2 Eric Lamphier Senior Director, Product Management Manhattan Associates elamphier@manh.com 678-597-7176 www.manh.com 2 Abstract Regardless

More information

Considerations. Change your viewpoint. Understand and pursue The Primary Metrics

Considerations. Change your viewpoint. Understand and pursue The Primary Metrics Considerations Change your viewpoint o After response time compression in your manufacturing/operating platform o You re no longer a manufacturing company that happens to manage inventory..you re an inventory

More information

pg. pg. pg. pg. pg. pg. Rationalizing Supplier Increases What is Predictive Analytics? Reducing Business Risk

pg. pg. pg. pg. pg. pg. Rationalizing Supplier Increases What is Predictive Analytics? Reducing Business Risk What is Predictive Analytics? 3 Why is Predictive Analytics Important to Sourcing? 4 Rationalizing Supplier Increases 5 Better Control of Sourcing and Costs 6 Reducing Business Risk 7 How do you implement

More information

Supply Chain Performance: The Supplier s Role

Supply Chain Performance: The Supplier s Role Supply Chain Performance: The Supplier s Role March 2005 Industry Directions Inc. www.industrydirections.com Companies of all sizes are realizing that they no longer have complete control over their market

More information

Designing an Automated, Omni-Channel Fulfillment Center: Key Considerations for Multi-Channel Retailers

Designing an Automated, Omni-Channel Fulfillment Center: Key Considerations for Multi-Channel Retailers Designing an Automated, Omni-Channel Fulfillment Center: Key Considerations for Multi-Channel Retailers INTRODUCTION U.S. e-commerce retail sales in 2013 were estimated to have exceeded $262 billion, marking

More information

Optimizing Inventory in Today s Challenging Environment Maximo Monday August 11, 2008

Optimizing Inventory in Today s Challenging Environment Maximo Monday August 11, 2008 Optimizing Inventory in Today s Challenging Environment Maximo Monday August 11, 2008 1 Agenda The Value Proposition Case Studies Maximo/DIOS Offering Getting Started Q&A 2 Current Inventory Management

More information

Your Trusted Supply Chain Partner. We Teach. We Consult. We Do.

Your Trusted Supply Chain Partner. We Teach. We Consult. We Do. Your Trusted Supply Chain Partner We Teach. We Consult. We Do. Your Trusted Supply Chain Partner LeanCor exists for the sole purpose of supporting our customers to build and sustain supply chain performance.

More information

Supply Chain Management and Value Creation

Supply Chain Management and Value Creation Supply Chain Management and Value Creation YAN Xi 1, KANG Canhua 2 School of Economics, Wuhan University of Technology, Wuhan 430070, China 1. cassie_yan@163.com, 2.kchhua@whut.edu.cn Abstract: In recent

More information

Supply chain intelligence: benefits, techniques and future trends

Supply chain intelligence: benefits, techniques and future trends MEB 2010 8 th International Conference on Management, Enterprise and Benchmarking June 4 5, 2010 Budapest, Hungary Supply chain intelligence: benefits, techniques and future trends Zoltán Bátori Óbuda

More information

Lean Partners. Produktivitet og konkurrenceevne. When the chase for lower manufacturing costs can bring product development efficiency at risk.

Lean Partners. Produktivitet og konkurrenceevne. When the chase for lower manufacturing costs can bring product development efficiency at risk. When the chase for lower manufacturing costs can bring product development efficiency at risk. M.Sc.E.E (Civilingeniør), DTU 1990 EMBA, Henley Business School 2010 Philips 1990-1997 Alcatel Space 1997-2000

More information

Supply Chain Leaders Understanding and Improving Supply Chain Performance Where It Counts

Supply Chain Leaders Understanding and Improving Supply Chain Performance Where It Counts Leaders Understanding and Improving Performance Where It Counts What is the Leaders Programme? Leaders is an action-oriented, practical programme which identifies the most vital supply chain improvements

More information

RedPrairie > Retail > White Paper. The Bottom Line Benefits of Workforce Management in Retail Distribution

RedPrairie > Retail > White Paper. The Bottom Line Benefits of Workforce Management in Retail Distribution The Bottom Line Benefits of Workforce Management in Retail Distribution 2 TABLE OF CONTENTS Executive Summary 3 Today s Labor Challenges 4 Case Study CSK Auto 5 New Approach to Workforce 6 Management Benefits

More information

Business Challenges. Customer retention and new customer acquisition (customer relationship management)

Business Challenges. Customer retention and new customer acquisition (customer relationship management) Align and Optimize Workflows with Lean Dan Marino Marino Associates, LLC Strategic and tactical planning Information systems integration Customer retention and new customer acquisition (customer relationship

More information

Best Practices for Transportation Management

Best Practices for Transportation Management Best Practices for Transportation Management www.ohl.com or 877-401-6400 Introduction The mantra for all transportation professionals is simple: reduce costs and increase customer satisfaction levels.

More information

Salient Wholesale Distribution & Manufacturing. Activity Based Performance Management Suite

Salient Wholesale Distribution & Manufacturing. Activity Based Performance Management Suite Salient Wholesale Distribution & Manufacturing Activity Based Performance Management Suite Salient: The Management Revolution Speed must permeate every aspect of business intelligence... it: increases

More information

Solutions to Optimize Your Supply Chain Operations

Solutions to Optimize Your Supply Chain Operations Solutions to Optimize Your Supply Chain Operations Executive Summary Strategic optimization of your end-to-end supply chain produces significant savings and improves your operational service levels. Effecting

More information

White Paper. Inventory Optimization For Better Supply Chain Management

White Paper. Inventory Optimization For Better Supply Chain Management Inventory Optimization For Better Supply Chain Management June 2011 Content 1. Introduction... 3 2. What is inventory?... 3 3. Steps to inventory optimization... 5 4. Ensuring inventory forecasting success...

More information

PURCHASING & SUPPLY CHAIN MANAGEMENT

PURCHASING & SUPPLY CHAIN MANAGEMENT FIFTH EDITION PURCHASING & SUPPLY CHAIN MANAGEMENT Analysis, Strategy, Planning and Practice AHJAN J. VAN WEELE Eindhoven University of Technology, The Netherlands ;\ CENGAGE t% Learning" Australia Brazil

More information

1) A complete SCM solution includes customers, service providers and partners. Answer: TRUE Diff: 2 Page Ref: 304

1) A complete SCM solution includes customers, service providers and partners. Answer: TRUE Diff: 2 Page Ref: 304 Enterprise Systems for Management, 2e (Motiwalla/Thompson) Chapter 11 Supply Chain Management 1) A complete SCM solution includes customers, service providers and partners. Diff: 2 Page Ref: 304 2) SCM

More information

APICS Principles of Operations Management

APICS Principles of Operations Management Principles of Operations Management A knowledgeable and skilled workforce is your most valuable asset. Ensure your supply chain and operations management teams have the foundational knowledge to take your

More information

Whitepaper 2014 THE ECONOMICS OF TRANSPORTATION MANAGEMENT SYSTEMS 1

Whitepaper 2014 THE ECONOMICS OF TRANSPORTATION MANAGEMENT SYSTEMS 1 2014 1 Even in a soft economy, transportation costs in the United States have continued to increase, and there is every reason to expect these increases to continue. According to the 2014 CSCMP State of

More information

Supercheap Auto Case Study. Working Capital (Inventory) & Service Level Optimisation

Supercheap Auto Case Study. Working Capital (Inventory) & Service Level Optimisation Supercheap Auto Case Study Working Capital (Inventory) & Service Level Optimisation Super Cheap Auto (SCA) what we did working capital & service level optimisation fact-based analysis enhanced planning

More information

MBA IQ Course Syllabus

MBA IQ Course Syllabus MBA IQ Course Syllabus Module 1: General Management, Leadership, and Strategy Understand Scope & Nature of Corporate Strategies Understand Importance of Planning & Organizing Skills Understand Importance

More information

Zeki Ayag QUALITY FUNCTION DEPLOYMENT APPROACH TO EVALUATE SUPPLY CHAIN STRATEGIES IN TURKISH AUTOMOTIVE INDUSTRY

Zeki Ayag QUALITY FUNCTION DEPLOYMENT APPROACH TO EVALUATE SUPPLY CHAIN STRATEGIES IN TURKISH AUTOMOTIVE INDUSTRY Zeki Ayag Kadir Has University, Turkey QUALITY FUNCTION DEPLOYMENT APPROACH TO EVALUATE SUPPLY CHAIN STRATEGIES IN TURKISH AUTOMOTIVE INDUSTRY Abstract: The main objective of this study is to analyze automotive

More information

Optimizing 3PL Through IT

Optimizing 3PL Through IT A P P L I C A T I O N S A WHITE PAPER SERIES LOGISTICS IS A COMPLEX AND EXTREMELY CRITICAL FUNCTION, WITH REAL-TIME FLOWS OF INFORMATION AND PHYSICAL GOODS. MANY COMPANIES HAVE LEFT THIS TO THE EXPERTS

More information

White Paper. Warehouse Management System

White Paper. Warehouse Management System White Paper Warehouse Management System The First Steps To Successfully Selecting a System. DT...the BAR CODE Experts www.sagedata.com Objective The purpose of this document is to outline the various components

More information

SUPPLY CHAIN SERVICES

SUPPLY CHAIN SERVICES EB-0-0 Exhibit F Schedule Page of SUPPLY CHAIN SERVICES INTRODUCTION Supply Chain supports THESL asset management plans by ensuring that all required goods and services are available when needed. Strong

More information

Infor Planning Tools. From Demand to Execution. Hans Smet Senior Account Executive hans.smet@infor.com

Infor Planning Tools. From Demand to Execution. Hans Smet Senior Account Executive hans.smet@infor.com Infor Planning Tools From Demand to Execution Per Osmar Solution Consultant per.osmar@infor.com Hans Smet Senior Account Executive hans.smet@infor.com 1 Overview M3 Planning Tools Demand Planner Accurate

More information

Value Creation Through Supply Chain Network Optimization To Address Dynamic Supply Chain

Value Creation Through Supply Chain Network Optimization To Address Dynamic Supply Chain Value Creation Through Supply Chain Network Optimization To Address Dynamic Supply Chain A Thought Paper on Supply Chain Network Design & Optimization Services from the Business Consulting Group Introduction

More information

Manufacturing Planning and Control for Supp Chain Management

Manufacturing Planning and Control for Supp Chain Management Manufacturing Planning and Control for Supp Chain Management Sixth Edition F. Robert Jacobs Indiana University William L. Berry The Ohio State University (Emeritus) D. Clay Whybark University of North

More information

Oracle Value Chain Planning Inventory Optimization

Oracle Value Chain Planning Inventory Optimization Oracle Value Chain Planning Inventory Optimization Do you know what the most profitable balance is among customer service levels, budgets, and inventory cost? Do you know how much inventory to hold where

More information

Oracle Value Chain Execution

Oracle Value Chain Execution Oracle Value Chain Execution Hotel Grand Hyatt, Santa Cruz 26 th April -2011 Shirish Gariba CIO @ DIESL DIESL Evolution 2003 2006 2011 Business Trading Business 3PL Integrated Logistics Service Provider

More information

Model, Analyze and Optimize the Supply Chain

Model, Analyze and Optimize the Supply Chain Model, Analyze and Optimize the Supply Chain Optimize networks Improve product flow Right-size inventory Simulate service Balance production Optimize routes The Leading Supply Chain Design and Analysis

More information

COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO

COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO www.sjm.tf.bor.ac.yu Serbian Journal of Management 1 (1) (2006) 41-47 Serbian Journal of Management COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO R. Piplani * Center for Supply

More information

September 17, 1:00 PM. Dean Sorensen, Founder, IBP Collaborative

September 17, 1:00 PM. Dean Sorensen, Founder, IBP Collaborative BUSINESS FORECASTING AND INNOVATION FORUM 2015 September 17-18, 2015 Boston, MA September 17, 1:00 PM Track A Session: Transforming FP&A via Strategic, Financial & Operational Integration Improve forecast

More information

Warehouse Management. A complete guide to improving efficiency and minimizing costs in the modern warehouse. Gwynne Richards.

Warehouse Management. A complete guide to improving efficiency and minimizing costs in the modern warehouse. Gwynne Richards. Warehouse Management A complete guide to improving efficiency and minimizing costs in the modern warehouse Gwynne Richards KoganPage LONDON PHILADELPHIA NEW DELHI CONTENTS List of figures xii List of tables

More information

Four distribution strategies for extending ERP to boost business performance

Four distribution strategies for extending ERP to boost business performance Infor ERP Four distribution strategies for extending ERP to boost business performance How to evaluate your best options to fit today s market pressures Table of contents Executive summary... 3 Distribution

More information

ELA Standards of Competence on the Supervisory/Operational Management Level

ELA Standards of Competence on the Supervisory/Operational Management Level ELA Standards of Competence on the Supervisory/Operational Management Level 2.0 Basic Supply Chain Concepts 2.0.01 Explain the scope and role of component activities within the supply chain 2.0.02 Map

More information

Supply Chain Management

Supply Chain Management Supply Chain Management อาจารย ดร.อ ศว ณ ปส ธรรม Email: win@riped.utcc.ac.th 11-1 Supply Chain the sequence of organizations (their facilities, functions, and activities) that are involved in producing

More information

Steel supply chain transformation challenges Key learnings

Steel supply chain transformation challenges Key learnings IBM Global Business Services White Paper Industrial Products Steel supply chain transformation challenges Key learnings 2 Steel supply chain transformation challenges Key learnings Introduction With rising

More information

To learn more about Trinity Logistics and our solutions:

To learn more about Trinity Logistics and our solutions: TRINITY LOGISTICS Transportation Industry Whitepaper Special Report to Shippers What is a TMS? What can it do for your organization? To learn more about Trinity Logistics and our solutions: www.trinitylogistics.com

More information

APICS PRINCIPLES OF OPERATIONS MANAGEMENT TOPIC OUTLINE CONCEPTS AND APPLICATIONS

APICS PRINCIPLES OF OPERATIONS MANAGEMENT TOPIC OUTLINE CONCEPTS AND APPLICATIONS APICS PRINCIPLES OF OPERATIONS MANAGEMENT TOPIC OUTLINE CONCEPTS AND APPLICATIONS About this Topic Outline This outline details the concepts and applications coved in all five of the APICS Principles of

More information

SCM. Logistics, Service, and Operations Management daeki@korea.ac.kr

SCM. Logistics, Service, and Operations Management daeki@korea.ac.kr SCM Logistics, Service, and Operations Management daeki@korea.ac.kr Key concerns Demand/supply/lead time variability Inventory & Transportation Information technology Technological advances Level of service

More information

Best Practices in International Logistics. How Top Companies Use Technology and Logistics Partners to Improve Performance

Best Practices in International Logistics. How Top Companies Use Technology and Logistics Partners to Improve Performance Best Practices in International Logistics How Top Companies Use Technology and Logistics Partners to Improve Performance December 2005 Transportation Spend Management Williams-Sonoma: Closed-Loop Transportation

More information

Logistics / Supply Chain Management. Industry Overview and Statistical Profile

Logistics / Supply Chain Management. Industry Overview and Statistical Profile Logistics / Supply Chain Management Industry Overview and Statistical Profile September 2005 Background Productivity is about far more than old-fashioned concepts of a plant's unit-per-labour costs. As

More information

Supply & Demand Management

Supply & Demand Management Supply & Demand Management Planning and Executing Across the Entire Supply Chain Strategic Planning Demand Management Replenishment/Order Optimization Collaboration/ Reporting & Analytics Network Optimization

More information

The impact of ecommerce on Shippers, Transportation Providers, & 3PLs. Presented by Adam Robinson, Marketing Manager, Cerasis

The impact of ecommerce on Shippers, Transportation Providers, & 3PLs. Presented by Adam Robinson, Marketing Manager, Cerasis The impact of ecommerce on Shippers, Transportation Providers, & 3PLs Presented by Adam Robinson, Marketing Manager, Cerasis The Amazon Effect The Evolution of Logistics and Supply Chains from Direct to

More information

White Paper February 2009. IBM Cognos Supply Chain Analytics

White Paper February 2009. IBM Cognos Supply Chain Analytics White Paper February 2009 IBM Cognos Supply Chain Analytics 2 Contents 5 Business problems Perform cross-functional analysis of key supply chain processes 5 Business drivers Supplier Relationship Management

More information

4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility

4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility ebook 4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility 4 Key Tools for Managing Shortened Customer Lead Times & Demand Volatility S U P P L Y C H A I N Content Introduction Tool

More information

Amcham Ho Chi Minh City

Amcham Ho Chi Minh City Amcham Ho Chi Minh City Mark Ketelaar, Managing Director, DHL Exel Supply Chain Vietnam Delivering Excellence Together! Deutsche Post World Net 2006!"#$ Page 2 One Stop Logistics Provider - DHL Same day,

More information

Lean Supply Chain and Logistics Management

Lean Supply Chain and Logistics Management Lean Supply Chain and Logistics Management Paul Myerson Me Grauu Hill New York Chicago San Francisco Lisbon London Madrid Mexico City Milan New Delhi San Juan Seoul Singapore Sydney Toronto CONTENTS CHAPTER

More information

Getting What You Pay For? - Total Cost of Ownership Model

Getting What You Pay For? - Total Cost of Ownership Model Getting What You Pay For? - Total Cost of Ownership Model Sandra Barkman, C.P.M., Procurement Agent The University of Michigan 734/615-5961; sbarkman@umich.edu Bryon S. Marks, MBA, Global Supply Chain

More information

LOGISTICS & SUPPLY CHAIN MANAGEMENT

LOGISTICS & SUPPLY CHAIN MANAGEMENT LOGISTICS & SUPPLY CHAIN MANAGEMENT Part 3 Designing Distribution Networks C O R R A D O C E R R U T I The Role Capitolo I. of Il concetto Distribution di strategia in the Supply Chain Distribution: the

More information

Aspen Collaborative Demand Manager

Aspen Collaborative Demand Manager A world-class enterprise solution for forecasting market demand Aspen Collaborative Demand Manager combines historical and real-time data to generate the most accurate forecasts and manage these forecasts

More information

Freight Payment: The Final Link in End-to-End Supply Chain Visibility

Freight Payment: The Final Link in End-to-End Supply Chain Visibility Freight Payment: The Final Link in End-to-End Supply Chain Visibility By: Rick Erickson, Global Director of Freight Payment Solutions, U.S. Bank, in collaboration with Jane Malin, Owner and Executive Consultant,

More information

Measurable Results: Establish service excellence. Reduce errors by 50% The choice for progressive medical centers.

Measurable Results: Establish service excellence. Reduce errors by 50% The choice for progressive medical centers. The choice for progressive medical centers Delivering tailored solutions to modern healthcare organization complexities by integrating a unique blend of strategies with wide-ranging industry experience.

More information

Full-time MSc in Logistics and Supply Chain Management

Full-time MSc in Logistics and Supply Chain Management Full-time MSc in Logistics and Supply Chain Management Course structure and content 2015-2016 The course has been developed to produce expert logistics and supply chain professionals who can take the skills

More information

The Down and Dirty Guide to LTL Shipping

The Down and Dirty Guide to LTL Shipping The Down and Dirty Guide to LTL Shipping 3 Step Action Plan for Improving Service and Saving Money TheLogisticsofLogistics.com Copyright protected, 2012 Page 1 Introduction: The Down & Dirty Guide to LTL

More information

Building Relationships by Leveraging your Supply Chain. An Oracle White Paper December 2001

Building Relationships by Leveraging your Supply Chain. An Oracle White Paper December 2001 Building Relationships by Leveraging your Supply Chain An Oracle White Paper December 2001 Building Relationships by Leveraging your Supply Chain EXECUTIVE OVERVIEW This white paper illustrates why a fusion

More information

Chapter 2 Supply Chain Performance: Achieving Strategic Fit and Scope (24)

Chapter 2 Supply Chain Performance: Achieving Strategic Fit and Scope (24) Chapter 2 Supply Chain Performance: Achieving Strategic Fit and Scope (24) 2004 Prentice-Hall, Inc. 2-1 Outline Competitive and supply chain strategies Achieving strategic fit Expanding strategic scope

More information

Achieving World-class Fabless Planning

Achieving World-class Fabless Planning Whitepaper Series Achieving World-class Fabless Planning Reduce lengthy cycle times and respond to change quickly Introduction The Fabless Semiconductor industry achieves high growth rates and superior

More information

HISTORY AND INTRODUCTION

HISTORY AND INTRODUCTION HISTORY AND INTRODUCTION I 1 Introduction The APICS dictionary defines the term supply chain as either the processes from the initial raw materials to the ultimate consumption of the finished product linking

More information

100 CSCP Exam Questions

100 CSCP Exam Questions 100CSCPEx a m Que s t i ons Af r e epubl i c a t i onf r om t het e a ma tre a lwor l dsuppl ycha i n h t t p : / / r e a l wo r l d s u p p l y c h a i n. c o m You may share or republish this publication

More information